State will not receive as much federal money for ferry system as expected
August 18, 2022
The state will receive about $36 million less in federal funding than expected for this year’s Alaska Marine Highway System operating budget, requiring the use of state dollars to cover the gap.
No reduction in service is expected because of the budget shuffle, state officials said. But it could mean that legislators next year will need to approve additional state funds to fully make up for the loss of federal aid, exposing the ferries to another vote in the political process.
The governor had looked to federal infrastructure money to replace most of the state dollars in the ferry system...